Once again we turn our Foolish eyes skyward, to one of the most interesting companies on the planet (or off): SpaceHab (NASDAQ:SPAB). NASA outsources many of its logistical and other services supporting space operations to SpaceHab, and also contracts with it to manufacture space-proof habitat and laboratory modules used on, for example, the Space Shuttle and International Space Station.

If it sounds like a sexy business, well, it is. If it sounds like a profitable business, though, well, it isn't. Not by a long shot. In fact, since I last described SpaceHab as being a company on life support eight months ago, things have deteriorated rapidly. I've just reviewed yesterday's earnings report, and also a few of its pre-earnings 8-K filings with the SEC. Here's a damage report:

  • SpaceHab lost $1.2 million on revenue that declined 2% year over year to $12.2 million for its fiscal third quarter. That brings the firm's net loss for the fiscal year to date to just under $3.1 million.

  • A January explosion at the multinational "Sea Launch" floating launch platform has postponed until October at least one launch for which SpaceHab was to provide services and receive payment. Management expects this setback to "impact" its revenues "for the next two quarters."

  • In February, the company decided to drop an $80 million lawsuit filed against NASA, claiming damages in contract and tort arising from the Space Shuttle Columbia disaster, in which a SpaceHab research module was lost. The action kills SpaceHab's chance to receive funds sufficient to pay off most of its $95 million in debt in one fell swoop. Worse, the company actually had to pay $0.5 million to its insurer, Lloyd's of London, in connection with dropping the lawsuit.

  • In April, Nasdaq notified SpaceHab that unless it gets its stock price up to more than $1 by Oct. 1, the firm will be subject to delisting.

  • SpaceHab's current assets (cash and equivalents, prepaid expenses, and accounts receivable) currently stand at $34.3 million -- $6.4 million less than its current liabilities (bills about to come due). In particular, it has a $10.3 million debt payment coming due in October, and only $12.3 million in unrestricted cash and equivalents with which to pay it.

With big-name customers ranging from Boeing (NYSE:BA) to Lockheed Martin (NYSE:LMT) to XM Satellite Radio (NASDAQ:XMSR) to NASA itself, I can't imagine anyone wanting to see SpaceHab go under. That said, things are looking grim indeed for this cosmic pioneer. Absent a major recapitalization effort, I foresee a rough reentry into the OTC BB market and a messy crash in SpaceHab's future.

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Fool contributor Rich Smith does not own shares of any company named above. The Fool has a disclosure policy.